Asset Depletion Mortgage Loans in Florida
Strong assets, low declared income? We convert your investment and retirement accounts into qualifying income.
What Is an Asset Depletion Mortgage Loan?
An asset depletion mortgage lets you qualify by converting your liquid assets into a monthly income figure. The lender divides your eligible assets by the number of months in the loan term to calculate hypothetical monthly income. For example, $1.8 million in eligible assets divided by 360 months equals $5,000 per month in qualifying income. No employment, no W-2s, and no tax returns are required — your portfolio speaks for itself.
An asset depletion mortgage lets you qualify by converting your liquid assets into a monthly income figure. Instead of proving earned income, the lender divides your eligible assets by a set number of months to calculate a hypothetical monthly income. This program is designed for borrowers who have accumulated significant wealth in bank accounts, brokerage accounts, retirement funds, or other liquid holdings but report low income on tax returns due to retirement, investment strategies, or business write-offs.
Who Qualifies for an Asset Depletion Loan?
This program is designed for borrowers whose wealth is in assets, not paychecks. If any of these describe you, asset depletion may be the right path.
- Retirees with substantial savings and investment portfolios
- High-net-worth individuals with low declared taxable income
- Business owners who reinvest profits and draw minimal salary
- Investors living off dividends and capital gains
- Trust beneficiaries with large trust account balances
How Asset Depletion Income Is Calculated
Step 1: Document Your Assets
Provide statements from bank accounts, brokerage accounts, retirement accounts (IRA, 401k), and other liquid asset holdings.
Step 2: Asset Calculation
Eligible assets are totaled and divided by a set number of months (often 360 for a 30-year term, or 240 for certain programs) to produce a monthly qualifying income figure.
Step 3: Underwriting
The calculated monthly income is used in place of employment income for debt-to-income qualification. No pay stubs, W-2s, or tax returns are required.
Step 4: Closing
Once approved, the process from appraisal through closing follows the same timeline as a standard mortgage.
Which Assets Count Toward Qualification?
Not all assets are treated equally. Understanding what qualifies helps you prepare a strong application from the start.
Eligible Asset Types
- Checking and savings accounts
- Stocks, bonds, and mutual funds in brokerage accounts
- Vested IRA and 401(k) retirement accounts
- Money market accounts and CDs
Generally Not Eligible
- Real estate equity or illiquid property holdings
- Non-vested stock options or restricted stock units
- Business ownership interest or private company shares
- Assets used for the down payment or closing costs
Benefits of an Asset Depletion Loan
No Employment Income Required
Qualify entirely on the strength of your asset portfolio without providing pay stubs, W-2s, or employment verification.
Retirement-Friendly
Designed for retirees and pre-retirees who have accumulated wealth but no longer earn active income.
Multiple Asset Types Accepted
Bank accounts, brokerage accounts, IRAs, 401(k) plans, and certain other liquid holdings can all count toward qualification.
No Tax Return Submission
Your assets speak for themselves. Tax returns are not part of the underwriting process.
See How Much Home Your Assets Can Buy
Your investment portfolio may qualify you for more than you think. Let a Home Financial Group specialist run the numbers and show you your options.
Asset Depletion Loans — Common Questions
Liquid assets such as checking and savings accounts, money market funds, stocks, bonds, mutual funds, and vested retirement accounts (IRA, 401k) are typically eligible. Real estate equity, business ownership value, and non-vested accounts are generally excluded.
The lender totals your eligible liquid assets and divides by a predetermined number of months, often 360 for a 30-year loan. For example, $1.8 million in eligible assets divided by 360 months equals $5,000 per month in qualifying income.
No. You do not need to sell investments or withdraw from retirement accounts. The lender uses the account values as documented in your statements to calculate qualifying income.
Retirement accounts may be eligible, but some programs discount the value of accounts held by borrowers under retirement age to account for early withdrawal penalties. The discount percentage varies by program.
The minimum depends on the loan amount, property type, and required debt-to-income ratio. Generally, you need enough eligible assets to produce a monthly income figure that supports the mortgage payment plus existing debts.
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Stop letting a low W-2 stand between you and the home you want. Home Financial Group helps high-net-worth borrowers turn portfolio strength into mortgage approval.